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    KPPU Cooperated with Ministry of Finance to Eradicate Cartel Grocery Practices


    BANDUNG - Commission of Supervisors of Bussiness Competition (KPPU) would be improved their role in eradicating cartel grocery commodities practices in Indonesia. One of them is doing a cooperation with Ministry of Finnace.

    Both parties had signed memorandum of understanding (MoU) about coopertaion settings, supervision, law enforcement, improvement on deciplining in paying tax, and bussiness competition.

    The Head of KPPU Syarawi Rauf said that the cooperation would be about exchanging information and data especially related with tax and customs. For that reason, in the MoU also involved the Directorate General of Taxation, the Directorate of General Customs and Excise, and also the Fiscal Policy Institution.

    "We may focus on the commodities of crops strategics later which as far as we know, the cost is fluctuating, for instance cow meats, chickens, sugarsm and other corps commodities," Syarkawi said in his official statement in Bandung, Friday (3/3/2017).

    He expected that the signing of MoU would be decrease the bad inffluences that were caused by bad importers and bussinessmen that were playing with the cost of corps commodities in local market. So that, it would encourage the realization of fair competition between bussinessmen, and also make the cost of grocery would be affordable.

    "The state can't be loose with cartel culprits, we expect the cost of grocery which should be rational and stable can be enjoyed by the consumers," he said.

    The Minister of Finance Sri Mulyani revealed that she was upset with bad importers that always played with the cost in markets. Since, in 2013 until 2016 importers' income tax (PPh) of grocery commodities were always falling. It was contradictory with import volume that always kept arising.

    For example, the import of frozen cow meats in 2016 arose up to 247% become 155,070 tons than in the last year. The increasing import volume also happened in fresh cow meats and its offals. Unfortunately, the arising cost of those imported thing was not making PPh from that commodities up.

    Moreover, the cost of basic needs was often extremely arisen and it was hard to be controlled although the government had intervenced markets. "This cooperation is expected to create bussiness' structure that is more efficient so that it can make the cost of basic needs commodities become affordable," he said.

    Meanwhile, the Minister of Finance Enggartiasto Lukita said that his parties welcomed the cooperation between KPPU with Ministry of Finance. He believed that this cooperation could decrease the practice of cartel that was often believed as the caused of high grocery cost. "It's enough for profits that are too much, in fact those profits are not reported to taxes authority," he said.

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